The Tsunami of bankruptcies begins...

General
1

See the US economy landscape :

Nissan Motor Co. may close down in USA

  1. Biggest Car Rental company (Hertz) filed for bankruptcy - they also own Thrifty and Dollar

  2. Biggest Trucking company (Comcar) filed for bankruptcy - they have 4000 trucks

  3. Oldest retail company (JC Penny) filed for bankruptcy - to be acquired by Amazon for pennies

  4. Biggest investor in the world (Warren Buffet) lost $50B in the last 2 months

  5. Biggest investment company in the world (BlackRock) is signalling disaster in the world economy - they manage over $7 Trillion

  6. Biggest mall in America (Mall of America) stopped paying mortgage payments

  7. Most reputable airline in the world (Emirates) laying off 30% of its employees

  8. US Treasury printing trillions to try to keep the economy on life support - their balance sheet will become $7 T+

  9. Estimated no. of retail stores closing in 2020 - 12,000 to 15,000. The following are big retailers that have announced closing:

– J. Crew
– Gap
– Victoria’s Secret
– Bath & Body Works
– Forever 21
– Sears
– Walgreens
– GameStop
– Pier 1 Imports
– Nordstrom
– Papyrus
– Chico’s
– Destination Maternity
– Modell’s
– A.C. Moore
– Macy’s
– Bose
– Art Van Furniture
– Olympia Sports
– K Mart
– Specialty Cafe & Bakery
and many many more…

World-renowned brands from January to May because of the impact of the epidemic:

Victoria’s Secret declared bankruptcy,
ZARA closed 1,200 stores,
La Chapelle withdraws 4391 stores,
Chanel was discontinued,
Hermes is discontinued,
Patek Philippe discontinued production,
Rolex discontinued production,

The world’s luxury industry has ceased production,

Nike has a total of 23 billion US dollars, preparing for the second stage of layoffs,
Needless to say about travel,

The founder of Airbnb said that because of the epidemic, 12 years of efforts were destroyed in 6 weeks,

Even Starbucks also announced “to permanently close 400 stores”

Under the weight of the new crown epidemic, many giants are facing the crisis of failure!

Five months of the epidemic, 780 million people were in debt, and tens of thousands of companies went bankrupt, so the company was seriously replaced.

Massive mortgage loan defaults, credit card defaults and auto loan defaults are expected

The real impact of Covid -19 will be known in the third quarter of 2020.

Unemployment claims reached an all-time high of 38+ million - unemployment is over 25% (out of 160 million of work force, close to 40 million are jobless). With no income, consumer demand is falling drastically and the economy will go into a free fall.

This is just USA…

2

The world will recover

3

Trump will make China pay :smiley:

4

what is closing in China ? they must be seriously hit. far much from the US.

5

Wake me up SJ Ikifungwa

6

No, the world will never recover from covid-19’s economic devastation. Even before the pandemic, there were signs of a global slowdown but now they’re going to use this sickness as a cover for what was bound to happen. Anyone who believes that things will get better is to be pitied.

7

Nitumie madollars please, I promise to be good to you always

8

Whoever is in a foreign land will know first hand what is hate if the local economy doesn’t improve. The civility you experienced during the good times and mistook it as natural behaviour will be replaced by outright hate and maybe even violence. Brace yourselves.

9

Kwani economy ime slow down kabisa upande wa kwako.

10

Imagine buana, I will stop dissing her akinitumia kakitu. Niko mbaya zaidi

11

Since I don’t know what all these vendors are and what they sell and I am pretty sure I have never bought anything from them, does that affect me any way? But suppose if Supaloaf was filing for bankruptcy, then perhaps “Huston we have a problem!”

12

Right now because it’s an election year both sides are playing nice to avoid antagonizing voters. After the election, no matter who wins, these protestors are going to see a very different face from the government. The economic assault that’s coming will be relentless and brutal in all parts of the world because in this global economy, the poor are poor no matter their geographical location and vice versa. There’s still a small window of preparation. Save, save, save! Hard assets and bullion is everyone’s best bet.

13

if this is happening in the USA sasa kenya itakua ten times if not 100 times worse,

14

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don’t worry guys,
good times are coming courtesy of Strong Men and Women

15

Msicheke usa ya kenya will be worst, every sme will close down, watu watafutwa, only Uhuru and elites will enjoy life

16

Umetafuta 20k this year ama utanza kulia Kama last year.

17

Untill its over and done with covid ndio kusema sasa. I forsee alot of non performing assets. @Purple has a point but saving cash sioni kama itasidia if your just going to spend the cash without earning any income. Hata hard assets sioni zikisaidia kama wenzako hawana purchasing power when you liquidate your assets or you start putting them to work.
If you can arm yourself and your family vizuri…bring in even extended family ndio mkue jeshi serious and go into agriculture…i think your covered.
Remember what happened in venezuela just kitu 3 4 5 years ago…people were protecting mango trees armed with shotguns…hakuna cha ujirani…kila mtu ana shift yake hata usiku mtu amekaa kwa miti ya maembe fully armed shoot first ask questions later was the policy.
My 2 cents.

18

Most people will migrate back to rural areas and enjoy the simple life of growing crops and keeping livestock. Most traders will close shop but those who sell essential commodities might survive. Just like the moi era of retrenchment and handcheque some will never recover and at the same time a new group of millionaires will emerge who have been prepared for this season.